Because these mistakes are so critical, they are nothing to laugh at. Have you made these mistakes with your hard-earned income?

1. They have never figured out the amount of money they really need every week to exceed just paying their bills. They haven't worked out a budget.

The appropriate definition of BUDGET is: the calculation of the amount of money needed for an organization to function and reach its goals. If you are satisfied to just pay your bills, and you never pay yourself first into some type of savings plan, you'll stay poor while you make your vendors rich. Every supplier that you pay is in business to make a profit. Shouldn't you be running your business to make a profit? Your income target must include a profit or the enterprise will fail financially.

2. They don't work out ways to earn more income than they currently need, and then willingly do whatever it takes to carry out their plan.

By UNDER estimating the amount of income needed to do better than just break even, they typically set their income target too low and lose more money by living on credit instead of getting busy raising their income. Everyone can discover different ways to increase their income; it is usually the 'willingness to do whatever it takes' that is the problem.

3. They habitually spend more money than they make.

Using your money to buy the 'appearance' of being wealthy is a deadly activity. I refer to this type of spender a Gratification Groupie. It can catch up with you fast and over a short time can drown you in debt. This situation causes constant stress about money and makes for lots of sleepless nights. Money does not buy happiness. However, doing something productive and worthwhile and being appreciated for it will make you feel like a million bucks.

4. They never figure out what they will need in the future and then set aside a little money every week in order to pay cash for the purchase later.

Purchasing something with a credit card because you don't have the money is committing your future production to the credit card company. You are then working for the credit card company as an economic slave. The right way to buy things, especially big ticket items, is to put away a little every week until you have enough cash to purchase the item, and then go out and negotiate a big cash discount. The guy with the CASH IS KING!

5. They buy services and products based on WANT rather than on NEED.

Purchasing decisions should be based on how your purchase of the product or service will help you produce additional income for you. Let's be honest here, do you want the new cell phone that offers text messaging and email retrieval because your friends have one, or do you need it to work more efficiently because you are out of the office making more money?

6. They never put money into a long-term savings plan so they have it for use later in life.

If you are relying on other peoples' future production to pay you Social Security payments so you can retire, that is really taking a gamble. Despite the fact the government says the cost of living is going up 3 - 3.5% a year, the truth is that it is going up 8 - 12% a year. You have to bring in that much more income just to break even. Why does the government report that it is only 3 - 3.5%? Regrettably, it's because the government has to raise Social Security payments every year by the percentage they quote. Our Social Security system is already bankrupt and those living on Social Security alone are headed in the same direction.

7. They never build up multiple sources of income. If one source dries up they are in financial trouble.

The old saying 'don't put all your eggs into one basket' is true today, especially in terms of income sources. Research profitable services or products that you can add, or business ventures you can participate in that are ethical, and have a really good opportunity to producing a residual income.

8. They get stressed out about the low interest their bank pays on savings accounts while they are being murdered with substantially higher interest rates by carrying balances on their credit cards.

If you have high credit card debt, it is more advantageous to use excess cash to reduce the debt and stop the high interest payments instead of trying to earn interest from the bank. As you reduce your debt, it is wise to keep sufficient cash on hand to cover a few months of basic living expenses. Once the debt is gone, or close to it, then start investing any excess money in investments that return real growth.

9. They get stressed out about 'the economy' in general.

I'm amazed that people are actually more worried about 'the economy' than about their household or business failing financially. They stress over what the news tells them about 'the economy' which is something they can't control, while never confronting how they are affecting the economy of their own household or business, which is something they CAN control. A rise in unemployment is no reason to worry. The creation of new jobs by small business greatly exceeded the loss of jobs in major corporations, according to the latest ADP report. A failing bank is no reason to panic. Banks get funding for bailouts from the FDIC and other investors. No one is standing by to bail out your failing business. That is entirely up to you. So keep promoting your business, put aside some cash, and sleep like a baby while the bad news about 'the economy' rages around you.

10. They anticipate surviving financially without taking full responsibility for controlling their financial future.

Money problems have a simple solution. Cut expenses, increase your income, and correctly manage what income you bring in. It's not only about how much money you make, it's what you do with it that determines your financial condition.

Correct money management is not taught in educational institutions. People get bad advice and false information about how to handle money. So then they make these silly mistakes, get into trouble, attempt to solve the problem by using credit, wind up in more trouble, and then go looking for debt relief.

Fortunately, there is an inexpensive, proven, money management software system that can reverse the money management mistakes a person has made in the past, and keeps them from making those same mistakes again. It is an old-school system your great grandparents used prior to the days of credit cards. Very wealthy people understand and use this system today.

Sandra Simmons, President of Money Management Solutions, has years of experience helping professionals manage their income to achieve their financial golas.